Monday, November 12, 2007

2008 Acres Up in the Air

2007 was the year of corn, with a large increase in corn acreage planted. Now for 2008, questions are being asked of which crop will gain acreage, corn, wheat or soybeans. All three have had very strong years and wheat has made somewhat of a comeback in many areas.

Friday's USDA Crop Production report -- the same one that, last year at
this time, set into motion a bullish swing in the corn market -- does foreshadow
the need for an acreage shift in 2008. But, which crop will see the greatest
shift next year?
Just weeks ago, it seemed wheat may be poised to see the
largest bump in acres, but analysts said this week that some key signs may
indicate the tide is turning toward more beans. But, don't forget about
"Prospects for a sharp decline in U.S. soybean stocks by the end of the
2007-08 marketing year suggest that an increase in U.S. soybean production, and
therefore acreage, will be required in 2008," University of Illinois Extension
economist Darrel Good said this week.

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